THE discovery of asbestos in the Old Fire Station has delayed the £3.5m project to create a new centre for homeless people in Oxford.

The hazardous material was found in a sealed room in the basement of the George Street building, believed to be an old coal cellar. Work to convert the OFS into an arts and education complex for young homeless people was held up while specialist contractors removed the asbestos.

The finished building will have a theatre, dance studio, gallery and creative workshops. The scheme is a joint venture by Oxford City Council, the Homes and Communities Agency and homeless charity Crisis.

Graham Stratford, the council’s head of community development, told the authority’s executive this week: “It was notifiable brown asbestos, so we had to shut things down for a while.

“It will affect the programme but it’s the first major hiccup we have had.”

Building work began in July and the centre is due to open next summer.

Homelessness charity Crisis has increased its investment by £100,000, taking the overall budget to £3.5m.